O'Neill: It's a 'Perfect Storm' for Gold

Gold, which recently surged to a record high $1,265, still has plenty of room to rise, many experts say.

Concern about the explosion of sovereign debt worldwide, low interest rates, and anticipation of gold purchases by China have put the precious metal in a sweet spot. Low rates make gold attractive compared to fixed income investments.

“There is a perfect storm for gold,” Bill O’Neill, former head of commodity research at Merrill Lynch and now a partner at Logic Advisors, told CNBC.

“The metal has become the ultimate currency, as few want to commit to the euro, pound or yen. And while the U.S. dollar may be the best of a weak lot, it also holds little appeal.” (more)